The board has four relays driven by ULN2803 IC. The board works on 12V but the input signal can come directly from microcontroller output working at 3V or 5V to control relays. Each relay can switch variety of AC or DC high voltage, high current loads working at 110V or 220V AC mains like lights, fans, and motors and such. The status of relay is indicated by individual LEDs.
Relay is an electromagnetic device which is used to isolate two circuits electrically and connect them magnetically. They are very useful devices and allow one circuit to switch another one while they are completely separate. They are often used to interface an electronic circuit (working at a low voltage) to an electrical circuit which works at very high voltage. For example, a relay can make a 5V DC battery circuit to switch a 230V AC mains circuit. Thus a small sensor circuit can drive, say, a fan or an electric bulb. A relay switch can be divided into two parts: input and output. The input section has a coil which generates magnetic field when a small voltage from an electronic circuit is applied to it. This voltage is called the operating voltage. Commonly used relays are available in different configuration of operating voltages like 6V, 9V, 12V, 24V etc. The output section consists of contactors which connect or disconnect mechanically. In a basic relay there are three contactors: normally open (NO), normally closed (NC) and common (COM). At no input state, the COM is connected to NC. When the operating voltage is applied the relay coil gets energized and the COM changes contact to NO.